Sunday, January 22, 2012
Yet another low density condo, but this time it is not in KL. This is Palmville, in Sunway. Sunway has some luxurious residential projects as well as low costs ones all mixed in a small area. Prices in Sunway now rivals most parts of Kuala Lumpur but unlike the KL city area, the economy in Sunway is now largely supported by a rich student population. They are from the most expensive private colleges in Malaysia - starting with Monash, Sunway College, Taylors, One Academy and some dodgy ones over in the Mentari area.
Hopefully, this won't be for long as flagship developer, Sunway Group is building a large A grade office tower beside the Pyramid mall and the 5-star Sunway Resort Hotel. The office tower, named the Pinnacle will be ready in 2015 and it is only a short 3 mins walk from Palmville.
Palmville consists of 3 bedroom units with various sizes ranging from 1300sf to over 1700sf. Despite the luxury tag... rental here starts from RM3000/month, the tenants are mainly students. Two of the high demand condos in Sunway are the Palmville and the Lagoonview. The latter is located right beside the Sunway College campus. They have 4-5 bedroom units priced from RM700k onwards but hard to find any in the market. Palmville is slightly cheaper. The going valuation from the most bullish of banks set it at RM400psf. That means, one can get a 1300sf unit from about RM500k. From the time I was writing this, there were 2 such small units in the market with one asking for as high as RM650k. Such a huge variance for the same product!
But rental is a bit more stable here... RM3000... not much more, not much less.
The most desirable units sits inside the tower or those facing the inner court swimming pool. There was one unit in sub-sale which has a breath-taking view of the Sunway Lagoon themepark. The park was constructed around a deep mining lake and the view is anything less than epic. However, the only facility here at Palmville is the small swimming pool. Maintenance fees are cheap and one can opt to top up to use the country club which is situated right next door.
Like the rest of Sunway, Palmville is Leasehold. But not all Leasehold projects do badly - Sunway owing to the self-contained amenities including the gigantic themepark and shopping mall. I think if anything here is priced to be within affordability and reachability of the students in this area, will do well for a long time. Those that are over-priced - i.e. South Quay might struggle a bit until the place is a bit more established and those that are badly maintained such as Mentari or Lagoon Perdana will continue to languish - such is the diversity of the Sunway area. Many friends who come here baulk at the traffic jams, especially during rush hour and then again during the weekends. With success, comes sacrifice. Sunway's success is the crowd and with this crowd, brings the congestions... Another of such place I can think of is Mutiara Damansara and the One Utama area.